Xanadu Mines has reported an initial indicated and inferred resource of 170Mt of coal at its Galshar Coal project in Dornogovi province of eastern Mongolia.

The estimate was carried out by geological consultants McElroy Bryan Geological Services.

The mine has an estimated indicated resource of 70Mt and an inferred resource of 100Mt at depths of less than 120m

The 131km2 Galshar coal project features three contiguous exploration licences in the Choir-Nyalga coal basin.

The company has begun the permitting process for a mining licence at the Galshar project.

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